Financial Physics
Research Report on Cognizant Techology Solutions

Cognizant Technology Solutions Corporation (Cognizant) is a provider of custom information technology (IT) consulting and technology services, as well as outsourcing services for Global 2000 companies located in North America, Europe and Asia. The Company’s core services include technology strategy consulting, complex systems development, enterprise software package implementation and maintenance, data warehousing and business intelligence, application testing, application maintenance, infrastructure management and vertically oriented business process outsourcing (V-BPO). Cognizant’s business is organized and managed primarily around four vertically oriented business segments: Financial Services; Healthcare; Manufacturing, Retail & Logistics, and Other. The Company’s key service areas are IT consulting, and technology services and outsourcing services. In September 2006, Cognizant acquired AimNet Solutions, Inc. In November 2007, the Company acquired marketRx, Inc.

Cognizant Technology Solutions Fundamentals
Year Revenue Net Income EPS P/E Average Share Price Net Margin Return on Equity
1998 58.6 6.0 0.03 24.3 0.73 10.29% 18.50%
1999 88.9 11.2 0.05 31.6 1.58 12.63% 28.78%
2000 137.0 17.7 0.07 52.6 3.68 12.90% 31.70%
2001 177.8 22.2 0.09 35 3.15 12.46% 26.88%
2002 229.1 34.6 0.14 32.3 4.52 15.09% 26.16%
2003 368.2 57.4 0.21 35.4 7.43 15.58% 26.10%
2004 586.7 100.2 0.35 39.5 13.83 17.09% 27.55%
2005 885.8 166.3 0.57 40.4 23.03 18.77% 28.48%
2006 1424.3 232.8 0.78 42.7 33.31 16.35% 26.04%

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